You have worked hard for your home and it is likely the largest and most important asset you have. It is no wonder that many couples disagree about how to handle the splitting of the marital home in a divorce. The resolution is not always simple. There are generally two main options when it comes to the marital home. One party may keep the home by buying out the other’s portion or the couple may continue to own the home together.
Factors to Consider
There are a number of factors to consider when you decide how to handle the marital home in a divorce. First and foremost, you will want to know the current market value of the home. You can get a rough idea of your home’s value by searching online for the price that similar homes sold for recently in your neighborhood. However, to get the best and most accurate figure you may want to have a home appraisal completed.
You will need to know how much money you owe and how much equity you have in your home. Generally, if you have only recently purchased your home, you could be upside down on your mortgage. This means that you might owe more than the home is worth. In that case, you and your spouse may want to consider keeping the home until the value and equity increase.
Another consideration is whether one of you has the ability to obtain a new mortgage in your own name. If not, it might not be possible to keep the home at this time. If you have young children who are accustomed to living in the home, have friends in the neighborhood and attend a nearby school, it may be best for the parent with primary custody to remain in the home until the children reach adulthood.
Making Important Decisions About Selling Your Home
If you decide to sell your home, there are some things to think about. Marital property is considered to belong to both spouses. However, if the home was purchased by one party prior to the marriage, it may not be considered marital property. Other things may come into play such as which spouse paid for maintenance and repairs and how the mortgage was paid.
Selling your home is likely the easiest option. Remember that when you put your home on the market, there is no guarantee of how long it will take to sell the property. It could end up taking a long time to sell your home.
Also, you and your spouse will need to agree on the asking price and determine whether you will accept a specific offer for the home. If you decide to sell your home, you will need to repay the mortgage and then split the proceeds.
Whatever you choose to do about your home will be made part of the divorce order. If you choose to keep your home you will need to create an agreement that defines who will pay for the mortgage, maintenance and repairs costs, taxes, and more. You should also set forth a time at which you intend to sell the home.
An experienced attorney will assist you throughout the divorce process. Contact our team at Henderson Legal Group to discuss your divorce today.